​If the Chinese Yuan Devalues Against the US Dollar,then

question 40

Multiple Choice

​If the Chinese Yuan devalues against the US dollar,then

• A)​Both the US importers and Chinese importers would benefit
• B)The US importers would benefit while the Chinese importers would be hurt
• C)The US importers would be hurt while the Chinese importers would benefit
• D)​Both the US importers and Chinese importers would be hurt

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Definitions:

Non-Monetary Items

Items that are measured at historic cost rather than their current monetary value, such as property, plant, and equipment.

Functional Currency

The currency of the primary economic environment in which an entity operates, usually the local currency or the currency of the country where it primarily generates and expends cash.

Fair Value

The proceeds from selling an asset or the financial burden of a liability transfer in a civilized negotiation with market participants on the valuation date.